Nokia issues profit warning

"During the 2Q/2010, multiple factors are negatively impacting Nokia's business to a greater extent than previously expected. These factors include: the competitive environment, particularly at the high-end of the market, and shifts in product mix towards somewhat lower gross margin products. In addition, the recent depreciation of the Euro affects Nokia's cost of goods sold, operating expenses and global pricing tactics", the company states. Nokia now expects Devices & Services net sales to be at the lower end of, or slightly below, its previously expected range of EUR 6.7 billion to EUR 7.2 billion for the 2Q/2010. This update is primarily due to lower than previously expected average selling prices and mobile device volumes. Nokia continues to expect industry mobile device volumes to be up approximately 10% in 2010, compared to 2009 (based on its revised definition of the industry mobile device market applicable beginning in 2010). The company continues to target its mobile device volume market share to be flat in 2010, compared to 2009. Its mobile device value market share will be consequently slightly lower in 2010, compared to 2009.